Citigroup Cuts Starbucks (NASDAQ:SBUX) Price Target to $80.00

Starbucks (NASDAQ:SBUX) had its target price trimmed by Citigroup from $85.00 to $80.00 in a research note published on Monday, Benzinga reports. The brokerage currently has a neutral rating on the coffee company’s stock.

A number of other brokerages also recently issued reports on SBUX. Wedbush cut their target price on Starbucks from $81.00 to $77.00 and set a neutral rating for the company in a research note on Friday, July 19th. BTIG Research cut their target price on Starbucks from $115.00 to $100.00 and set a buy rating for the company in a research note on Wednesday, May 1st. DZ Bank downgraded Starbucks from a buy rating to a hold rating and set a $75.00 target price for the company. in a research note on Friday, May 3rd. Deutsche Bank Aktiengesellschaft cut their target price on Starbucks from $89.00 to $85.00 and set a hold rating for the company in a research note on Tuesday, July 16th. Finally, Morgan Stanley cut their target price on Starbucks from $104.00 to $98.00 and set an overweight rating for the company in a research note on Friday, July 12th. Seventeen investment analysts have rated the stock with a hold rating and nine have given a buy rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of Hold and a consensus price target of $91.71.

Starbucks Stock Down 1.8 %

SBUX opened at $73.32 on Monday. The business has a 50 day moving average price of $77.95 and a two-hundred day moving average price of $85.38. The company has a market cap of $83.05 billion, a PE ratio of 20.20, a P/E/G ratio of 1.73 and a beta of 0.94. Starbucks has a 52 week low of $71.55 and a 52 week high of $107.66.

Starbucks (NASDAQ:SBUX) last posted its quarterly earnings data on Tuesday, April 30th. The coffee company reported $0.68 EPS for the quarter, missing the consensus estimate of $0.79 by ($0.11). The company had revenue of $8.56 billion for the quarter, compared to analysts’ expectations of $9.12 billion. Starbucks had a net margin of 11.38% and a negative return on equity of 49.91%. The firm’s revenue was down 1.8% on a year-over-year basis. During the same period in the prior year, the company earned $0.74 earnings per share. As a group, sell-side analysts expect that Starbucks will post 3.57 EPS for the current fiscal year.

Starbucks Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, August 30th. Stockholders of record on Friday, August 16th will be issued a dividend of $0.57 per share. This represents a $2.28 annualized dividend and a dividend yield of 3.11%. The ex-dividend date of this dividend is Friday, August 16th. Starbucks’s dividend payout ratio (DPR) is 62.81%.

Insider Transactions at Starbucks

In other news, CFO Rachel Ruggeri sold 3,750 shares of the firm’s stock in a transaction on Wednesday, May 22nd. The stock was sold at an average price of $80.00, for a total transaction of $300,000.00. Following the sale, the chief financial officer now owns 65,431 shares in the company, valued at $5,234,480. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. In other news, CFO Rachel Ruggeri sold 3,750 shares of the firm’s stock in a transaction on Wednesday, May 22nd. The stock was sold at an average price of $80.00, for a total transaction of $300,000.00. Following the sale, the chief financial officer now owns 65,431 shares in the company, valued at $5,234,480. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Michael Aaron Conway sold 3,250 shares of the firm’s stock in a transaction on Friday, June 14th. The stock was sold at an average price of $80.00, for a total value of $260,000.00. Following the sale, the chief executive officer now owns 78,304 shares in the company, valued at approximately $6,264,320. The disclosure for this sale can be found here. Insiders have sold 7,250 shares of company stock worth $579,375 over the last quarter. 1.98% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in SBUX. Vima LLC acquired a new position in Starbucks in the fourth quarter valued at $26,000. Scarborough Advisors LLC acquired a new position in Starbucks in the fourth quarter valued at $26,000. New Millennium Group LLC acquired a new position in Starbucks in the second quarter valued at $26,000. DSM Capital Partners LLC acquired a new position in Starbucks in the fourth quarter valued at $27,000. Finally, Hobbs Group Advisors LLC acquired a new position in Starbucks in the second quarter valued at $27,000. Institutional investors and hedge funds own 72.29% of the company’s stock.

Starbucks Company Profile

Starbucks Corporation, together with its subsidiaries, operates as a roaster, marketer, and retailer of coffee worldwide. The company operates through three segments: North America, International, and Channel Development. Its stores offer coffee and tea beverages, roasted whole beans and ground coffees, single serve products, and ready-to-drink beverages; and various food products, such as pastries, breakfast sandwiches, and lunch items.